Homework answers / question archive / Project #1 - Linear Regression Stock Prices AV Start Assignment Due Friday by 11:59pm Points 50 Submitting a text entry box, a website url, a media recording, or a file upload In this project you will have a chance to do your own linear regression analysis

Project #1 - Linear Regression Stock Prices AV Start Assignment Due Friday by 11:59pm Points 50 Submitting a text entry box, a website url, a media recording, or a file upload In this project you will have a chance to do your own linear regression analysis

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Project #1 - Linear Regression Stock Prices AV Start Assignment Due Friday by 11:59pm Points 50 Submitting a text entry box, a website url, a media recording, or a file upload In this project you will have a chance to do your own linear regression analysis. With all of the news about the “hot” stock market I thought it would be fun to apply our statistical tools to a stock price. Please check the rubric for more information about grading. Instructions Step 1. Your idea: You will select a publicly traded stock that is in the S&P 500 index by clicking this link to the Business Insider website and choosing a stock. The latest closing prices are here as well. The S&P 500 stock market index is viewed as a measure of how well the stock market is performing overall. It includes around 500 of the largest U.S. companies. Step 2. Collect data: You will gather data on its closing price for the last 10 days so that you have 10 data points of with a date and a closing price. Step 3. Do calculations: You will enter the data you have collected into your calculator (Stat, Edit, put data into L1 and L2) and then do a simple linear regression (Stat, calc, choose 8 LinReg (a+bx) that is calculated automatically. Use the numbers 1,2, 3 for the dates when you input the data since you cannot enter in dates to the calculator Step 4. Conclusion and analysis: Using this data, answer the questions in the Conclusion and Analysis section below by typing your answers here and uploading the spreadsheet. You can also make a video to explain your findings for 5 points of extra credit. 1. Which stock did you select and why? Give a brief description of the company and its product/service. 2. Provide your data here. 3. What is the slope of the regression line you calculated and what does it mean? Explain in terms of the performance of the stock. 4. Based on your regression line hat would you predict the stock price to be 10 days in the future? In 100 days in the future? (Hint: plug in 10 for x) 5. What are some limitations of this approach to predict the future price?